Property associated with our operating activities as at March 31, 2025 and December 31, 2024, is summarized as follows:



	March 31,		December 31,
(Dollars in thousands)	2025		2024
Land	$	47,400	$	47,267
Building and improvements		166,986		166,451
Leasehold improvements		49,573		49,444
Fixtures and equipment		144,754		143,773
Construction-in-progress		2,059		1,987
Total cost		410,772		408,922
Less: accumulated depreciation		(198,415)		(194,228)
Operating property, net	$	212,357	$	214,694

Depreciation expense for operating property was $3.3 million for the quarter ended March 31, 2025, as compared to $4.1 million for the quarter ended March 31, 2024.

Construction-in-Progress balances are included in both our operating and development properties. The balances of our major projects along with the movements for the three months ended March 31, 2025, are shown below:



(Dollars in thousands)	Balance, ‎December 31, ‎2024		Additions during the period		Completed ‎during the ‎period		Transferred to Held for Sale		Foreign ‎currency ‎translation		Balance, ‎March 31, ‎2025
Cinema developments and improvements		1,745		40		—		—		3		1,788
Other real estate projects		242		31		(3)		—		1		271
Total	$	1,987	$	71	$	(3)	$	—	$	4	$	2,059

In order to support our liquidity, we have monetized certain of our real estate holdings. During 2024 and the first quarter of 2025 we sold two held for sale properties. In the first quarter of 2024, we monetized our office building in Culver City for $10.0 million. In the first quarter of 2025, we monetized our properties in Wellington, New Zealand for $21.5 million. In the second quarter of 2023, we classified our 2483 Trenton Avenue, Williamsport, Pennsylvania, property as held for sale. In May 2024, we classified our Cannon Park, Townsville, Queensland, Australia property as held for sale.

A ‘disposal group’ represents assets to be disposed of in a single transaction. A disposal group may represent a single asset, or, multiple assets. Discussed below are those real estate transactions affecting the presentation in our consolidated balance sheet as of March 31, 2025 and December 31, 2024, and the profitability determination in our consolidated statements of income for the three months ended March 31, 2025, and 2024.

In June 2024, we classified our property assets in Wellington, New Zealand including Courtenay Central, as held for sale at the lower of cost and fair value less costs to sell. The disposal group consisted of our Courtenay Central cinema and retail property, along with our Tory and Wakefield Street car parks. Our book value (as opposed to fair value) of the property was $14.7 million. No adjustments to the book value of the assets were required upon classification as held for sale. The sale was completed on January 31, 2025, when control of the property ceded to the buyer, at a gross sale price of $21.5 million. The proceeds were used to pay off the Westpac mortgage on the property.


	March 31
(Dollars in thousands)	2025
Sales price	$	21,538
Net book value		(14,666)
Gain on sale, gross of direct costs		6,872
Direct sale costs incurred		(306)
Gain on sale, net of direct costs	$	6,566

In May 2023, we classified our Culver City administrative building, commonly known as 5995 Sepulveda Blvd., as held for sale. Our book value (as opposed to fair value) of the property was $10.8 million, being the lower of cost and fair value less costs to sell. No adjustments to the book value of the assets contained within this disposal group were required. The disposal group consisted of land, a building and various leasehold improvements. The sale was completed on February 23, 2024, at a gross sales price of $10.0 million. The proceeds were used to pay off the $8.3 million first mortgage on the property.


	March 31
(Dollars in thousands)	2024
Sales price	$	10,000
Net book value		(10,800)
Loss on sale, gross of direct costs		(800)
Direct sale costs incurred		(325)
Loss on sale, net of direct costs	$	(1,125)

In May 2024, we classified our Cannon Park ETC in Townsville, Queensland, Australia, as held for sale at the lower of cost and fair value less costs to sell. The disposal group consists of our Cannon Park City Center and Cannon Park Discount Center properties, comprising approximately 9.4-acres. The current book value (as opposed to fair value) of the property is $17.5 million. No adjustments to the book value of the assets contained within this disposal group were required. The disposal group is currently subject to an unconditional contract of sale, expected to close in May 2025.

In June 2023, we classified our industrial property at Newberry Yard, Williamsport, Pennsylvania, as held for sale at the lower of cost and fair value less costs to sell. The current book value (as opposed to fair value) of the property is $460,000. The property is part of our historic railroad operations, consisting of land and an industrial building, and certain rail bed improvements. No adjustments to the book value of the assets contained within this disposal group were required. Sales efforts continue, and the property continues to meet the ASC 360 held for sale criteria.